Bitcoin Fear and Greed Index Rises with Bitfinex Report
The crypto market is constantly showing signs of recovery, as Bitcoin recorded a significant rise towards $35,000, which positively affected investors’ expectations towards the currency. The “Bitcoin Fear and Greed Index”, which is a measure used to measure the general mood towards Bitcoin, has recently entered the “greed” zone. “For the first time since mid-July 2023.
On October 21, the major cryptocurrency started to show strongly again, with its value reaching around $30,000, reflecting the positive investor sentiment as the index reached 66 points on October 24, the highest since April 16, 2023.
The “Bitcoin Fear and Greed Index” remained in the “fear” or “neutral” areas for most of the second half of 2022, but with the beginning of this year and the strong performance that the market has witnessed in recent weeks, it seems that the period of decline in cryptocurrencies has come to an end.
Although rising indicators may show some fear, experts believe they may also indicate investment opportunities.
On the other hand, increasing greed among investors may indicate that the market is approaching a correction period.
Experts and analysts have recently indicated the possibility of Bitcoin achieving further increases in value, with some factors such as regulatory developments, a reduction in the expected Bitcoin mining reward, and increased institutional investor interest in the currency.
Bitfinex weekly report
The latest weekly report from Bitfinex carries expectations regarding the possibility of high fluctuations in the price of Bitcoin (BTC) in the future, as it indicates the possibility of massive fluctuations in the coming months.
The market is currently reflecting a relatively quiet period in terms of volatility, but this does not look like it will last for long.
According to available indicators and data, it appears that the volatility of Bitcoin price is about to undergo significant increases.
In one notable example, the coin experienced a 1,200% increase in volatility over a short period of 9 hours, sending the value above $30,000.
Analysis provided by analysts at Bitfinex expects that this period of low volatility may be nearing the end, as the coming period could witness more massive price fluctuations, based on monitoring current market movements and fluctuations.
The report also shows that traders are preparing and re-evaluating their strategies in anticipation of these expected fluctuations.
Analysis indicates that there are expectations of much greater market volatility in the coming period.
Bitfinex also took into account recent news and developments that could impact the Bitcoin market, such as news related to regulatory approval.
These factors show how the cryptocurrency market is affected by news and how it can contribute to accelerated volatility.
In addition, the report shows that there is growing interest and intense analysis regarding market indicators and variables that may occur, and how these factors could affect the price movements of Bitcoin and other digital currencies in the coming period.
